Coal India Ltd to fire up capex with ₹68,000 cr spend

New Delhi: Coal India Ltd has drawn up a capital expenditure plan of around ₹68,000 crore over four fiscal years from FY27 to FY30 to drive capacity expansion, strengthen mining infrastructure, and increase diversification.

The planned investments will largely go towards land acquisition and related rehabilitation and resettlement, mining infrastructure, coal evacuation systems, and solar projects, a senior company official told ET. The four broad segments will account for over 80% of the proposed capital outlay during the period.

More than a third of the total planned expenditure has been earmarked for land acquisition and related rehabilitation and resettlement activities.

Also Read: Coal India's Q1 capex rises by 16.64% to Rs 3,399 crore

Timely land acquisition remains key for coal mining operations as new projects and mine expansions cannot proceed without securing land, irrespective of the availability of coal reserves, the official said.

Coal India had made a capital expenditure of ₹19,607 crore in FY26, surpassing its annual target of ₹16,000 crore.

"Expenditures on land acquisition, development of coal evacuation infrastructure, and plant and machinery constitute the major components of our capital expenditure," B Sairam, chairman, Coal India, had earlier this week said in a statement.

Going forward, to strengthen logistics and improve coal transportation efficiency, the miner plans to invest over ₹17,000 crore to support coal evacuation infrastructure, the company official quoted above told ET on Wednesday.

This expense will support the development of railway sidings and rail corridors along with the construction of coal handling plants, silos, weighbridges, and roads.

The plant and machinery segment has been allocated over ₹9,000 crore for the procurement of heavy earth moving machinery, construction and expansion of washeries, and other plant and equipment related needs, the official said.